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   August 18, 2009

   VIA CERTIFIED MAIL - RETURN RECEIPT REQUESTED

   Costco Warehouse Corporation

   999 Lake Drive

   Issaquah, WA 98027

   Attn: Richard J. Olin, Vice President and General Counsel

   Re: File No. EB-09-SE-133

   Dear Mr. Olin:

   This is an official CITATION issued to Costco Warehouse Corporation
   ("Costco"), pursuant to Section 503(b)(5) of the Communications Act of
   1934, as amended ("Act"), for marketing non-compliant radio frequency
   devices, specifically, the Astak CM-918T2 wireless security camera ("Astak
   CM-918T2), in the United States in violation of Section 302(b) of the Act,
   and Sections 2.803, 15.209 and 15.249(d) of the Commission's Rules
   ("Rules"). As explained below, future violations of the Commission's Rules
   in this regard may subject your company to monetary forfeitures.

   In March 2009, the Enforcement Bureau received a complaint alleging that
   the Astak CM-918T2 is causing harmful interference to Sprint Nextel's
   licensed operation of its iDEN network in the 800 MHz and 900 MHz bands
   and that Costco is marketing this device. On May 8, 2009, staff from the
   Enforcement Bureau's Spectrum Enforcement Division visited the Costco
   Warehouse located at 7601 Matapeake Business Drive, Brandywine, Maryland
   20613. The staff observed that this Costco location was marketing the
   Astak CM-918T2. Subsequently, the Enforcement Bureau provided samples of
   the Astak CM-918T2 to the FCC's Office of Engineering and Technology
   ("OET") Laboratory for testing. The OET Laboratory's tests demonstrated
   that the Astak CM-918T2 does not comply with the radiated emission limits
   specified in Sections 15.249(d) and 15.209 of the Rules.

   Section 302(b) of the Act provides that "[n]o person shall manufacture,
   import, sell, offer for sale, or ship devices or home electronic equipment
   and systems, or use devices, which fail to comply with regulations
   promulgated pursuant to this section." Section 2.803(a)(1) of the Rules
   provides in pertinent part that:

   [N]o person shall sell or lease, or offer for sale or lease (including
   advertising for sale or lease), or import, ship, or distribute for the
   purpose of selling or leasing or offering for sale or lease, any radio
   frequency device unless ... [i]n the case of a device subject to
   certification, such device has been authorized by the Commission in
   accordance with the rules in this chapter and is properly identified and
   labeled as required by S: 2.925 and other relevant sections in this
   chapter ....

   Intentional radiators, such as the transmitter component of the Astak
   CM-918T2 wireless security camera, are generally required by Section
   15.201 of the Rules, to be approved through the equipment certification
   procedures described in Sections 2.1031 - 2.1060 of the Rules prior to
   marketing within the United States. As an intentional radiator operating
   at 905 MHz and 924 MHz, the Astak CM-918T2 is also subject to the radiated
   emission limits specified in Section 15.249(a) of the Rules for operations
   within the 902-928 MHz band. In addition, pursuant to Section 15.249(d) of
   the Rules, except for harmonics, emissions from the Astak CM-918T2
   radiated outside the 902-928 MHz band must be attenuated by at least 50 dB
   below the level of the fundamental frequency or to the general radiated
   emission limits specified in Section 15.209 of the Rules, whichever is the
   lesser attenuation. The OET Laboratory's tests demonstrate that radiated
   emissions from the Astak CM-918T2 outside the 902-928 MHz band
   substantially exceed the limits specified in Section 15.209 of the Rules.
   Therefore, the Astak CM-918T2 does not comply with the radiated emission
   limits specified in Sections 15.249(d) and 15.209 of the Rules.

   Accordingly, it appears that Costco violated Section 302(b) of the Act and
   Sections 2.803, 15.209 and 15.249(d) of the Rules by marketing in the
   United States the Astak CM-918T2 wireless security camera.

   If, after receipt of this citation, you violate the Communications Act or
   the Commission's Rules in any manner described herein, the Commission may
   impose monetary forfeitures not to exceed $16,000 for each such violation
   or each day of a continuing violation.

   You may respond to this citation within 30 days from the date of this
   letter either through (1) a personal interview at the Commission's Field
   Office nearest to your place of business, or (2) a written statement. Your
   response should specify the actions that you are taking to ensure that you
   do not violate the Commission's Rules governing the marketing of radio
   frequency equipment in the future.

   The nearest Commission field office is the Seattle Office, in Kirkland,
   Washington. Please call Neal McNeil at 202-418-2408 if you wish to
   schedule a personal interview. You should schedule any interview to take
   place within 30 days of the date of this letter. You should send any
   written statement within 30 days of the date of this letter to:

   Kathryn Berthot

   Chief, Spectrum Enforcement Division

   Enforcement Bureau

   Federal Communications Commission

   445-12th Street, S.W., Rm. 3-C366

   Washington, D.C. 20554

   Under the Privacy Act of 1974, we are informing you that the Commission's
   staff will use all relevant material information before it, including
   information that you disclose in your interview or written statement, to
   determine what, if any, enforcement action is required to ensure your
   compliance with the Communications Act and the Commission's Rules.

   The knowing and willful making of any false statement, or the concealment
   of any material fact, in reply to this citation is punishable by fine or
   imprisonment.

   Thank you in advance for your anticipated cooperation.

   Sincerely,

   Kathryn Berthot

   Chief, Spectrum Enforcement Division

   Enforcement Bureau

   Federal Communications Commission

   47 U.S.C. S: 503(b)(5).

   47 U.S.C. S: 302a(b).

   47 C.F.R. S:S:2.803, 15.209 and 15.249(d).

   Section 2.803(e)(4) of the Rules defines "marketing" as the "sale or
   lease, or offering to sale or lease, including advertising for sale or
   lease, or importation, shipment or distribution for the purpose of selling
   or leasing or offering for sale or lease." 47 C.F.R. S: 2.803(e)(4).

   47 C.F.R. S: 2.803(a)(1).

   An intentional radiator is "[a] device that intentionally generates and
   emits radio frequency energy by radiation or induction." 47 C.F.R. S:
   15.3(o).

   See 47 C.F.R. S: 15.201.

   A certification is an equipment authorization issued by the Commission,
   based on representations and test data submitted by the applicant. See 47
   C.F.R. S: 2.907(a).

   47 C.F.R. S:S: 2.1031 - 2.1060.

   The Astak CM-918T2 is certified under FCC ID WQZCM-918T2 to operate at 905
   MHz and 924 MHz.

   See 47 C.F.R. S: 15.249(a).

   See 47 C.F.R. S: 15.249(d).

   See 47 C.F.R. S: 15.209.

   See 47 C.F.R. S: 1.80(b)(3).

   See 5 U.S.C. S: 552(a)(e)(3).

   See 18 U.S.C. S: 1001.

   Federal Communications Commission DA 09-1823

   1

   2

   Federal Communications Commission DA 09-1823

                       FEDERAL COMMUNICATIONS COMMISSION

                            WASHINGTON, D.C.  20554